Many taxpayers struggle to understand the complex tax returns and complete them correctly. In the first year of the Self Assessment regime alone, 775,000 taxpayers received £100 penalties for failing to submit their returns on time, and some 400,000 incurred further penalties because their returns were still outstanding six months later!
The constant flow of changes to tax legislation means not only that the returns are becoming even more difficult to understand but also that taxpayers risk incurring more penalties through failing to complete their returns on time or correctly.
An accountancy practice like Wilson Bott Accountants can provide valuable assistance with self-assessment income tax in several ways. Here are some ways an accountant can help:
- Tax Planning: An accountant can help you plan your taxes strategically by analysing your income, expenses, and potential deductions. They can offer advice on maximizing deductions and credits to minimize your tax liability.
- Compliance: An experienced self assessment accountant can ensure that you comply with all relevant tax laws and regulations. They stay updated with the latest changes in tax legislation and can help you navigate complex tax codes, ensuring accurate and timely filing.
- Recordkeeping: Maintaining proper financial records is crucial for accurate tax reporting. An accountant can help you establish efficient recordkeeping systems, ensuring that you have all the necessary documents and receipts to support your income and deductions.
- Preparation and Filing: An accountant can prepare your self-assessment tax return accurately and efficiently. They have expertise in tax calculations and can identify potential errors or omissions that could trigger audits or penalties. They will ensure that all required forms and schedules are completed correctly.
- Deduction and Credit Optimization: Self assessment accountants have a deep understanding of the tax code and can identify deductions and credits that you may not be aware of. They can help you claim all eligible deductions and credits, potentially reducing your tax liability.
- Communication with Tax Authorities: If you encounter any issues or receive correspondence from tax authorities, an accountant can act as your representative. They can communicate with tax officials on your behalf, resolving any concerns or addressing inquiries.
- Tax Advice and Strategies: Accountants can provide personalized tax advice based on your financial situation. They can offer guidance on structuring your income, planning for retirement, investing, and other financial decisions to optimize your tax position.
Overall, an accountant can provide peace of mind by ensuring accurate and compliant tax filings while minimizing your tax liability. They can save you time, reduce the risk of errors, and potentially identify additional savings opportunities.
Wilson Bott accountants offer a variety of services to our personal clients in South Birmingham including self-assessment. Other services include personal tax planning; retirement strategies and inheritance tax planning Our personal clients tell us that they really appreciate our blend of professional expertise and friendly approach that makes them feel valued.
Many of our business clients find it helpful to let us also manage their personal accountancy needs. Please contact us to discuss your specific requirements.
You can read our Guide to Self-Assessment Tax Returns in the Resources section of our website, but please remember that we can save you a lot of time, worry and money by handling your self assessment tax return for you. We will do all the necessary computations, complete your return, and even offer advice on how you can minimise your tax liability.
We can act as your agent, dealing directly with the HM Revenue and Customs on your behalf and, should you be selected for a self assessment enquiry, act for you at any meetings.